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T-Mobile Axed from Apple Deal, Verizon Comes Up with Cash?

In practically non-Android or Droid related news, I’ve received a tip that is just screaming to be released. And while this seems completely off topic at first, I should point out that with Verizon involved and the release of 2 new Droids on the horizon, that this does sort of impact you. So here we go…

T-Mobile Almost Makes Deal

As many of you know, the rumors of contract negotiations between T-Mobile and Apple have been going on for a few months and a deal appeared to be imminent. Well, until now according to my sources. Apparently T-Mobile was unable to finalize that deal for a couple of reasons.

The first was their inability to come up with the amount of cash that Apple was demanding which had the potential to significantly cripple the 4th ranked carrier in the U.S. even further should more advanced smartphones come along. When I say “cripple”, I mean that the commitment needed from T-Mobile would have made it only profitable to sell iPhones and with the ever-expanding features and power of devices supporting Android, the end would have almost been inevitable.

The second reason being the timing of an announcement and the release of the iPhone 4 next week on AT&T. T-Mobile was angered over the fact that their partnership could not be made public until after AT&T had launched Apple’s new baby on Thursday, locking up thousands of potential customers. You have to remember that AT&T has for the first time in the existence of the iPhone, adjusted customer contracts, allowing them to upgrade to this newest version early all while keeping them under the AT&T blanket for another 2 years. You think this idea was simply a coincidence?

Verizon Comes In

Just days ago, after negotiations had fallen out between T-Mobile and Apple, the official news of Verizon inking their deal was being faxed to those needing to know, of course accompanied by a pound of non-disclosures. Apparently Verizon hopes that an iPhone deal will make them money in the long run as the rumored amount of cash they forked over for this was more than something extraordinary.

So when does Verizon plan on making their announcement? My source says July, but I’m hesitant to jump on that as Big Red has the Droid X launching on July 19th and the Droid 2 coming just weeks later. Would they really undermine all that the DROID brand has done for them over the last 9 months just to sell out to a product they won’t have for 2 more years? I guess with AT&T’s exclusive deal through 2012, VZW customers purchasing a phone now would not be effected. At the same time, a Verizon Executive did come out just 2 days ago and call a CDMA iPhone “inevitable.”

Take it for what it’s worth…just wanted those of you who may be fed up with AT&T to know that you will soon have another option, even if you want a phone from the enemy.

any links/facts/etc regarding that 'its not the network, its not the number of subs, its the way the iPhone is designed' part?

Petro Dragoumanos

I don't know how true this story is, but if it's true I think it will be a good thing for both iPhone and Android users. If Verizon get's the iPhone then the iPhone users will have a choice of networks. Android devices on Verizon's network will have to compete directly with the iPhone which means some cheaper if not free low end Android phones and some phenominal high end Android phones to compete directly with the iPhone. When you take AT&T out of the formula everyone wins.

Just for the record I'm not a big fan of the iPhone and I love Android but that's just me, it doesn't mean there is anything wrong with the iPhone or me. It just means that Android is what suits my needs best.

Tom

I'd just like to note that I can play Robot Unicorn Attack on my droid with 2.2. So screw iPhone and their games!

Rob

This article is the biggest crock of BS about the iPhone. This is the only place on the entire internet that is posting this “story.” Give me a freaking break. I'm following the iphone story for myself and came across this.

Why is this article even in here? Really who really cares about the icrap? I will admit even before the rumors of the iphone came out, I was hoping that apple would put out a phone, but after seeing the iphone it has never moved me to own one. It's an entertainment device that cannot do it's primary job, hold a phone conversation.

watbetch

this whole article is garbage

Whoayeah85

Now if verizon gets ahold of its only competition from at&t the prices will be through the roof… Ugh!

The iphone and Android phones are virtually tied for users now, but with the skyrocketing quality of android phones and the new users coming on board, I don't believe we will even be comparing these phones in 2 years. I mean look what Android phones have done in 9 months compared to the iphones what, 9 years? What does worry me is will verizon be able to handle all the new wireless customers they will be flooded with?

Elliot323

iPhone would be very negative for Verizon. The reason why Android is growing so quickly is the same reason why Mac have so little market share, they cost way too much. With that said a CDMA iPhone would likely cost upwards $700 as opposed something like the Motorola Droid's full retail price of $530. So thats about $200 per iPhone user every 2 years Verizon would be loosing out on. So where would they get that money back? Theres a few ways, one is to have an AT&T style maintainence plan and let their network go to crap, or raise prices data plan prices for everyone. I don't want either one of them. Please Verizon keep the iPhone off of our network before I go to Sprint.

dbro

I dont understand. why would t-mo be upset about the announcement after the iPhone is released on ATT if, as you state, “AT&T’s exclusive deal through 2012” is in place. If AT&T snags up customers now and then the iPhone would be released on t-mo in 2012, why would they care. those cust contracts would be up. I just dont understand how a t-mo/apple deal would be any different, as far as AT&T exclusiveness, than a verizon/at&t deal.

As long as they don't try dropping the Droid line. They've had the best smart phones available..

Robert

Since no one can sell the iphone, except for ATT, for two more years don't you think the Android system will have put a big hurt on ATT and Apple by then. Hopefully when June is over we will see the Android system out sell the iphone for the second quarter.

Months ago, this news would have made my day. BUT, ever since I got my droid I have lost all desire for the iPhone. Before my Droid (not to mention this blog) showed me the light, I thought the Android v. Apple debate was a joke. Now I still think its a joke, but with Apple as the joke portion! GO ANDROID!!!

ericsorensen

Why should the carrier pay Apple a large amount of cash? Won't Apple sell more phones? If Apple is so greedy, they can take more of the monthly cut from the Iphone's customer's bill. But then, how does the carrier make up for that loss? I suppose to charge ALL the carrier's customers more to pay for the glorious rights to the Iphone.

Your name here

Come on people, be reasonable. I love my Droid and all but too many people on here sound just as bad as the apple fan boys you all love to bash. I am grateful for having a phone/os platform with such a dedicated following. The iphone is a good device (service aside) whether you want to admit it or not. Verizon is not here to drink the droid coolaid like a majority of you seem to have, they're here to take your money. iphones mean more business. period.

Tom

Correction… it is a very polished device. I don't consider the iPhone a “good” device. I have heard that voice quality is not as good as it should be. And I know that the sound card on the iPhone is below average. The Droid's is much better.

Is the iPhone a sleek device? Yes… very….

Would I ever buy one? No… Too locked down and no keyboard.

Oh right that is another problem with iPhone…. One phone per year. You have no choices.

JT

If true, Good for Apple (and the iphone) because this will slow their inevitable slide into the 3rd spot for mobile os behind Android OS. Also, all the at&t iphone owners who hate their current service will come over to vzw and realize their toy now has one more feature (voice) and less spotty data but will still be looking longingly at the newest Droid. Afterward, the apple super hard-core fanboys will be separated from the rest of the fine people who just want to look cool carrying a relevant device, not wearing a black turtleneck.

Honestly I think that the Windows phone will be the next big thing and will overtake both android and the iphone. Look at what Microsoft is doing, they are solving for the flaws of both android and the iphone. They are beating apple by allowing for more than one device, some with keyboards, different screen sizes, etc. They are beating android by not allowing those phone makers to customize software and hardware to the point where it will halt upgrades, they have minimum standards for phones so software fragmentation will not be a problem. They also are paying developers huge sums of money to convert iphone apps to the Windows Phone. They are integrating social networking features directly into the software better than any other phone company, they are also integrating xbox live and their Zune software and a ton of other features that will set a new standard for phones. I know you all now probably hate me but I have android and besides a couple of rough edges here and there it is an awesome phone, better than anything else on the market, and while I think the windows phone will take off and move ahead of android and apple, the beauty of android is it can change, it is not tied to anything, it can go in any way that it wants, I think that android is here to stay.

stan

oh you mean like the kin one and two?

Username

The kin one and kin two on the software level only integrated social networking and the Zune player, this type of phone will not sell. These phones were missing basic features (such as a calendar) and an app store and really anything else that is common for phones to have. People did not want to pay 30 dollars per month and not get these features, if this was 10-15 dollars per month the phone would have been huge. The kin was basically a failed experiment, Microsoft wanted to test social networking on these phones but failed because of the premium price and lack of features. With the windows phones, people will pay the 30 dollars per month because they will get the app store, get the calendar, get xbox live, and all of the other things that they want. And with windows phones, there will be a variety of phones that will meet various needs, the kin one and two were relatively ugly phones, with more phones this will not be as much of an issue. With the kin, you were paying for an ugly phone lacking basic functions for a premium price, this is not the windows phone.

stan

i really think ms will never ever overtake android or apple in the mobile race. they are just too behind with everything…hardware, software, customer loyalty. MS has the world in its grip with the windows os and office suite, but regarding mobile, there's nothing there, they're too late and will never be the top dog. and outside of the states? forget it, they're not even a blip on the radar.

exactly. how long has windows mobile been around? what? since 2003 and they STILL can't do anything? what makes you have faith in it now?

Username

This is a completely different approach from Microsoft, this is NOT windows mobile 6.5. This has absolutely no connection to previous versions, the old system was slow, not optimized for touch, apps were terrible, and just all around felt unfinished. Microsoft has worked hard to make this phone os as perfect as they can, they have made an OS that takes the best of both worlds. It is not having faith in “Microsoft”, their operating system fixes the problems of other mobile systems and that is why I think it will be successful. It might fail, Microsoft has failed in the past, but I think that right now they are heading in the right direction.

Tom

Tell that to the thousands, if not millions, of business users who will never use Microsoft WinMo again because they now have either an iPhone, Android device, or RIM device. It is not about fresh starts, its about bad memories. People don't forget, even if this is one of the best OSes. Tech users might give it a look, but what of the ordinary folk…. They don't care…. They'll take one look at WinMo and pass it over. Again, it could be the best OS ever and still fail because of their history.

Also….I'd like to point out that…. IT IS NOT OUT YET! IT COULD BE AS HORRIBLE AS EVER BEFORE!

And Symbian is also coming out with a new OS which will destroy WinMo internationally. Here in the states it is all about iPhone right now, with a dash of Android. With RIM as the top dog due to business users. Nothing will change, I'm sorry. You are looking at the merits of the OS, but you are a minority in that.

Tom

One problem with your theory… Microsoft's track record… Users have used WinMo before… People remember how they didn't like it… So they have to break through preconceived notions of Microsoft's failure which has built up for about 10 years. Most people won't get over that especially with Android powered devices and iPhone. They have a lot to conquer… Not to mention Symbian on the international field. Which I don't think will be overtaken anytime soon.

Maurice2288

Looking forward to that sales report. Let the fandroids weep once again as Apple continues its dominance.

EC8CH

Slaveboy here likes to be dominated by Apple apparently?

Maurice2288

lol easy woody

Maurice2288

Looking forward to that sales report. Let the fandroids weep once again as Apple continues its dominance.

DexDroid

This is going to get hot fast, with the whole Android line-up coming soon and now Apple's in the mix. Im not bashing the iPhone (or Apple), im just looking at it from a different point of view. It's all about what you want and need from your mobile device. Every phone has its pros and cons.

Mguerrera11

For those of you who think this is a bad thing for the Android platform…I would tend to disagree. It is neither good nor bad. But heres how I look at it. If your a Android user, and you like the phones they make and your on their platform, the transfer of the iPhone to Big Red shouldn't make you wan't to jump ship to the iPhone. Android will still evolve and progress as it normally would with or without the addition of the iPhone to Verizon.

Now, with this said, I believe Verizon has looked at this scenario in 2 ways. They can leave the iPhone dependent on AT&T and simply fight with their line up of Android devices, or they can add the iPhone to Verizon and give the public no reason to stay with AT&T. The way I look at it, the iPhone is a big reason that AT&T is still even in competition with Verizon. With the iPhone on Verizon, it will send AT&T plummeting.

You need to remember, this is carrier versus carrier. Not brand versus brand.

It is carrier vs carrier but with that said Apple and At&t have been beaten up for network issues. Truth be told the engineering of the iPhone and how it connects to its network is the real issue. It is a bandwith hog and with the number of devices on At&t's network it is hard to keep up with the demand. VZW will have the same issues as At&t because no network can handle the influx of users that iphone generated. “Droid” has been given away buy one get one since a few weeks after launch. capability they are competitors as far as mass appeal Apple still owns the market. At&t would benefit from the loss of a few subscribers if VZW got iphone, VZW's network would take a hit At&t would be running smoother and the funny thing is if VZW didnt buy Alltel they would still be 10million + subs behind At&t. At&t lost their claim to largest carrier after the Alltel merger. just my 2 pennies.

Rickzilla09

yes ATT had 10 more million customers but VZW had the lead prior to ATT merging with Cingular.

Crazington Farms

any links/facts/etc regarding that 'its not the network, its not the number of subs, its the way the iPhone is designed' part?

This may be a good point however as reality has shown At&t Wireless wasn’t a very “large” company without the loyal Cingular customers they kidnapped. Now that they bought T-Mobile their profit margine must be very low. LARGEST COMPANY IN AMERICA / AT&T…all the way to the dump!!

This makes a lot of sense to me on Verizon's part… and here is my theory…

Right now Verizon is pumping out all this money to get people who want something more open and something like the iPhone but not so restricted to come to Verizon. So they are getting all these people coming over to Verizon and joining the Android team. Obviously (with the exception of the new Sprint EVO) Verizon has the best Android phones available right now, so they are taking a HUGE market share of it.

Now 2 years from now, when the iPhone contract is up, I”m certain AT&T's network will still be crippled as there will still be tons of iPhone users, and people want a change. As soon as Verizon says “hey come over to us we have the iPhone now too!” then TONS of people will come to use Verizon's iPhone….

Thus Verizon now has a huge happy Andoid base (which I don't even care if we have some iPhone users on the network), and then a happy for change iPhone base.

2 years from now both ATT and Big Red are likely to have released their new 4G LTE networks… discarding the GSM and CDMA difference between them. Allowing Apple to still manufacture only one iPhone and use it on two carriers. The LTE network will be a whole new set of swear words when it comes to bandwidth and we won't know until it arrives which of the two carriers LTE networks will be better.

LTE = Game Changer

Tom

Verizon's LTE will be better…. AT&T have to fix their network first… Because regardless of LTE or not, who would want a service that cuts out when not on LTE? Verizon already has a solid network, and all they are are upgrading to LTE…. They can put far more effort into their 4G LTE than anyone else right now…. I think that is why they are taking their time with it… When they release it they want to be able to say “The nation's most reliable 4G network.”

I love my Droid and love bashing my boys iPhone but Verizon is not doing such abad thING here a lot of ppl are scared to mod / hack there phone and a lot of ppl aren't as tech savvy as us lol ” Verizon has the best service hands down service I mean as in signal there customer service could be better but the point is there gonna kill thee market they got the Android world on Lock when they get the iPhone there gonna smash at&t simply because there goingto corner the market for the less tech savvy iPhone users

EC8CH

Steve,

Too Late

EC8CHsent from my Verizon Droid

Ace Z.

You know what I had the iphone and I jumped over to the DROID because the service sucked. Now I can firmly say the phone sucks too when you compare it to the DROID seriously. I had two people in the IT department jump ships and they agree as well.

Jess

I'll be sticking with android (I may have had a dream last night about DroidPro… almost as good as when I'm able to channel Leonardo DiCaprio subconsciously), but I do like this for one reason – it will give AT&T customers who, for whatever reason, really want to stick with iPhone, the ability to get the hell of AT&T's awful service.

darkseider

LOL. Verizon didn't ink nothing and this is yet another white buffalo. Do you honestly think that VZW is spending $100+ million dollars on ad campaigns for Droids just so they can spend some other “untold” amount to Apple? Sure the iPhone may come to Verizon but not until LTE is firmly established throughout the country. Also by that time Android will have taken whatever wind Apple has in the iPhone out of its' sails.

kellex

Contract would be active for 2 more years remember.

darkseider

OK so the contract would not be valid for two years. Which means that Verizon didn't sign a damned thing. Why would any company in their right mind fork over cash and then have to wait 2 years to try and recoup said cash. Not to mention in that time Android, WP7, Whizbang2012 OS Phones can make the iPhone a thing of the past. No one person or company would be that foolish regardless of the product or potential.

If they announce they are going to carry the iphone but you have to wait two years…

I'll laugh my ass off.

jonj95835

I got two cells with verizon so i would just do the best of both worlds

DroidFan

hey kellex you should do a poll to see if anyone with a droid device would go to an iphone….i bet the numbers would smash apple.

kellex

I did a while back and the Droid obviously crushed it. 🙂

Collinsclerk

I'm on Verizon and looking to upgrade next month, right around the time of the Droid X release. I have to say that if Verizon were to announce that the X and the iPhone were both coming out on VZW the same day, I would choose the Droid X. I have an iPod Touch right now and I really like it. However, it has serious limitations, which the new iPhone OS fails to address. The biggest limitation for what I use it for is podcasting. You can't just subscribe to podcasts on the device and have it automatically update. You have to plug in every night, which is time consuming and I just hate. What I've been doing is using Stitcher to determine when new ones come out and then manually downloading them on the device using the iTunes app. It works ok, but it's a huge pain. There are about 10 apps on Android that allow you to just subscribe and listen without any of the nonsense I'm having to do right now. I also want something I can watch movies on and the iPhone just doesn't have the screen for it. Lastly, you can't really manage files in the iPhone, other than through the stupid system on iTunes. I hate iTunes. If iTunes were out of the picture, I would like Apple stuff so much more. So, given all of this, I would choose Android over iPhone 4.

Josef F

Yikes! No! Keep those bandwidth hogs with their crappy IProduct phones where they belong. In the AT&T ghetto!

DroidFan

i hope Big V dont sell out……Android made verizon matter again. Dont bite the hand that feeds you.iphone will never be as good as any of the droid phones out there.

Tom

They won't sell out, but they will take the path that will get them the most money. That includes getting the iPhone.

ViggS

iPhone SUCKS!!! OK just wanted to get that out there.

John

Android >>>>>> iPhone. Now that hardware is finally catching up to the power of the OS, and is able to run it smoothly, there is no comparison!

John

Also funny how the brand new iPhone, in development for probably over a year, will be totally surpassed spec wise in every department by years end (.. and it only holds a slight advantage in a few areas at release). Your one year upgrade schedule will not be able to compete in the future, apple! Sorry

It seems like Verizon has the mother of all bargaining chips right now. They have an “incredible” line up of Droid phones that are getting better and better, not just once a year, but every 2-3 months there is a new killer Droid on their network. Android popularity is soaring right now and the new iPhone 4 was more of a catch up release than a revolutionary one.

It would make sense for Verizon to continue to sell millions of Droid phones, locking people into Android devices and diminishing the value of a deal with Apple. Then they would be able to negotiate from a better footing than now where Apple thinks they will be king of the hill forever.

You know what? An Iphone may be attractive at first, But a couple of things make me not want to get one. Android keeps growing and growing, i like the way they change the looks of their phones and constantly upgrade. Im not a big iphone guy. I have an Ipod Touch, i dont want a phone like that. Id rather stick to the droid and their constant upgrades and bad ass phones.

ajavgeek

For sure good news for VZW, Android here comes the biggest competition

snafu009

Two thoughts: first, I think Verizon would be remiss not to go after the iPhone (I love my Droid, but getting Apple's phone is great selling point to snatch customers who would have otherwise gone to AT&T merely for that phone…and I really do think that is a solid percentage of AT&T iPhone users). Second, I'm of the mind that Big Red was smart to wait for the official announcement for iPhone4 before making any sort of commitment (know what you're getting into, instead of buying into the hype).

Interesting, but guys let's keep it real her, you know that a lot of people on At&t and Verizon will jump to the iPhone if it ever comes to Verizon.

I'm not one of them, I love open source and Android, it give new meaning to life, simple.Verizon it's been trying to get this deal done for a while now, so we'll see how this turns out.

DiGz76

Very true……I know several iphone users that say they wish it was on verizon and would make the switch if verizon ever gets it. But I'm with you droid has me for life.

Tom

Advantage is that Google doesn't really care….. They make their money from people using the internet… Android is a side project….

briderx

Sad day in the Droid world..

Kellex, you better make up for it..

JT

all i can say is that Droid X looks to sick to pass up.

stan

“With that said, Android > iPhone.”

especially in 2 years. iphone won't even be competition in 2 years, at the rate that android is growing.

kellex

So true on so many levels.

memnoch73

I cannot wait for what the droid will look like and do 2 years from now… And of course to laugh at what the iphone still can't do… Lol… Iphone 6 “We have Adobe Flash!!!**”

**Flash only works where approved by apple. In order to use it you have to close one eye because apple has not approved viewing flash video with both eyes…

mkregs

Disclaimer: I prefer Android to iPhone. Just thought I would include that as I know my comments to come will get crucified on this site.

This Android-v-Apple thing is looking more and more like Ford-v-Chevy every day. I agree with a lot that is said on this site about preference of having an Android device over an Apple device. But, to say that “iPhone won't even be competition in 2 years” is a big stretch. We all get the Google pom-poms out, from time to time, but let's be real. 1. iPhone isn't going away and will maintain its iconic aura for years to come.2. iPhone / Verizon is a dangerous combination. Imagine an iPhone that you can actually use to make phone calls.3. Some Android users WILL defect if Verizon gets iPhone.

You have to admit that Apple is very intelligent with the products they offer. For instance, how many pre-cell-phone aged kids are being brainwashed by having iPod Touch devices? That being the case, what mobile/cell phone device do you think they would be more apt to be attracted to?

We want Apple competition…don't we? I want Apple to keep improving as that means Google will have to do the same to stay competitive. Google and Apple (and to some degree, RIM) have to compete to earn our business, which is great for us as they will continue to come up with awesome product to keep us interested. I'm actually amazed at what's come out in just the last 7~8 months.

stan

competition breeds innovation….that's why i'm loving this android/iphone war. it's bringing out the best from both sides of the battlefield, and we as the consumer are eating it up!

i still love android over iphone. at first i wanted the iphone 4 for it's hardware and top of the line build quality. but with these new motorola devices, my iphone desire has definitely been smoldered.

I agree… I wanted the iPhone 4 for the same reasons you did. But with the new Droid X coming out I think I'll finally be an Android convert. (I'm rockin a 2008 BB Curve right now so anything is an upgrade).

I had the first HTC Droid for a week back in Nov. '09 and hated it… the apps just weren't powerful enough for me yet. So I went back to my BB for the winter waiting for the summer phones. Now seeing the Droid X I'm glad I waited!

El El Kool J

Well just to add about the mention of “breeding pre-cell-phone aged kids” We own a few Verizon Premium Retialers and These same kids come in with more interest about Android over Iphone. They always say how much cooler all the different Android phones are.. “Ford is all Ford has.. while Chevy is on line of what GMC owns..” Android > iPhone..

Can you say “Droid 5” with a 3ghz processor running on 5G? lolHell yea! lol

El El Kool J

or maybe even “droid 5” with a quadcore 3Ghz processor running on 5G.. 🙂

Guest

not exactly…. considering android has been around since 2005 and honestly Symbian is better than both but the FCC is not a fan of Nokia and doesnt approve many of the devices that are available.

John Mo

God I hope not.

Aleis

i seriously hate the iphone coming to verizon news. particularly on my android sites.either way, it wont happen and be like…OKAY with all parties involved. with all the commercials verizon has dissing the iphone subliminally…i dont see it being all smooth. UNLESS! they start to disown android. like now!cause its obvious they are competing. verizon making a HUGE announcement a day before the iphone launches!it just seems like everybody WANTS the iphone on verizon who mentions it.

Jay P

first

kellex

Early riser 😛

snafu009

World Cup before work = Win! …Or at least that's my excuse for being up right now 🙂

Jay P

Kellex you wouldn,t believe it but I check DL every hour regularly. Im in St Petersburg Home of the RAYS. Normally i wake up around 9:45 ET just to see what DL has in store for me.

PS. How about them Rays last nite stayed up and watched it all. Jay P.

HaHa! I live up north of you in Holiday and I do the same thing… though I get up earlier I check DL often throughout the day

Jay P

finally a Droid Lifer close to me.

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